Recently I have noticed that my target levels are being exceeded by relatively small amounts, around 30 pips or so. This is very frustrating for me and I am sure that many of you might also be getting stopped out. Therefore I decided to give you a small technique that may or may not already be obvious to you.

Usually when a level reacts as in the case of the GBPUSD, the move almost always gives a relatively small profit of 70-90 points. I would advise that those of you trading my analysis lock in 70-90 points on the first reaction – there is usually always the opportunity to place your stop at break even at some point in the trade.

News

For those of you that want to use a more effective method of trading, I would like recommend my forthcoming ebook “Precision Trading”. In my book I will show you how to run a trade and also how to extract money from your tradea even when you only get a relatively small move.

Please lookout for more details regarding the launch of Precision Trading on the blog if you are interested.

As predicted using my analysis methods the GBPUSD reacted at my second predicted level on the day forecast, it exceeded the point by only 9 pips. The decline is not over yet, if this is just a correction then we will see the gbp decline to below 1.58222. If it a first wave in a new up trend then 1.60570 would be my target area to exit this trade, this will be based on the wave structure formed.

What I am seeing at the moment is impulse waves down, indicating that possibly we are in a move to break the previous low. As the wave progresses it will be easier to evaluate its potential reversal zone using the techniques taught in my course precision trading. If you missed the original trade entry, wait for the retrace up, which is certainly comming.

More analysis on this as the move progresses

Hi All,

Hope that you have all had a nice Xmas and New Year and that you have not put on too many pounds of the non cash variety. Sorry that I have not made too many updates lately.

The GBPUSD has a potential turn in time for either today or tommorrow. As of this moment there is a perfect abcd formation on the daily. There is also a .78% fib ratio of the last swing, sometimes these ratios work together to provide additional resistance. I also have a saw wave pattern on the lower time frame chart hitting a good ratio of 2.618 so there is a high probability that this is the top. I have sold at 1.62985 stop at 1.63345

Happy Trading!